Laguna Redang Resort:

This resort is for those who want everything packaged and ready to go. It is very nice, with good food, great service, and a fantastic beach. The snorkeling is second to none on peninsular Malaysia as far as I know. You can even get dive certified, if staying there 3 or more days, for only 800 RM. That's quite cheap! Overall, a very upscale place with many things to do (especially nice for children).
http://www.lagunaredang.com.my/